JAPAN'S PACIFIC ISLANDS SUMMIT: ENVIRONMENT,

C O N F I D E N T I A L SECTION 01 OF 02 TOKYO 001244 SIPDIS PACOM FOR J5 USFJ FOR J00/J01/J5 STATE FOR S/SECC AND OES/EGC E.O. 12958: DECL: 06/01/2019 TAGS: PREL PGOV JA SUBJECT: JAPAN'S PACIFIC ISLANDS SUMMIT: ENVIRONMENT, FINANCE AND FIJI DOMINATE TALKS REF: TOKYO 895 Classified By: Charge James P Zumwalt for reasons 1.4(b) and (d) -------------- Summary and Introduction -------------- ¶1. (C) Japan hosted the fifth Pacific Islands Leaders Meeting (PALM 5) in Hokkaido May 22-23. The tri-annual summit meeting between Japan and the members of the Pacific Islands Forum was divided into three sessions focused on climate change, human security and expanding people-to-people exchanges. The Government of Japan released a statement on April 16 expressing concern about recent events in Fiji. Japan decided to invite only working-level officials to PALM5 in a bid to avoid isolating further the regime in Fiji. Japan wants to limit China's influence on the Fijian government's future direction, MOFA contacts report. -------------- ENVIRONMENTAL ISSUES HEADLINE FIRST SESSION -------------- ¶2. (C) MOFA Oceania Division Deputy Director Hideaki Ishii told Embassy Tokyo that Japan pledged 6.8 billion yen (approximately $68 million) to the Pacific Island Forum at the start of Session One of PALM 5, which focused on climate change, biodiversity and waste management. These monies are intended to assist in adaptive measures in response to climate change. MOFA sees Tuvalu, Kiribati and the Marshall Islands as potentially the most severely affected by climate change problems, such as a rise in sea levels, and they could stand to receive larger portions of this Japanese outlay. ¶3. (C) At the same session, many countries in the region voiced a desire to cut dependence on diesel fuel. Japan plans to assist in efforts to better harness solar power and other renewable energy resources. Ishii noted the importance placed on water desalinization projects, and said that companies such as Nitto Denki and Toray have technologies in this area that may be utilized. -------------- STRONGER ECONOMIES SEEN AS KEY -------------- ¶4. (C) Regarding human security matters, including education, water supplies and health issues, Ishii reported that most countries stressed the importance of Japan's continued assistance to the region despite the global economic downturn. Several representatives stressed the need for self-reliance. Papua New Guinea was particularly forceful in asserting the need for economies in the region to build a solid economic base so as to reduce dependence on aid and assistance in the future. Sufficiently strengthened local economies would then lead to an enhanced ability to deal locally with human security issues. ¶5. (C) Palau's representatives discussed the Compact of Free Association with the United States and expressed concern that the loss of funds associated with the Compact will have a very negative effect on the economy. Palau's president emphasized the need to increase international trade and investment and reaffirmed a commitment to opening Palau's markets to the world in order to create new jobs and investment. -------------- PEOPLE-TO-PEOPLE EXCHANGES -------------- ¶6. (C) At the third session, Japan presented its "Kizuna" (ties) plan to promote people-to-people exchanges, such as scholarship programs and academic exchanges. Ishii observed this initiative was well received. Japan's Prime Minister Aso unveiled a three-year, 50 billion yen ($500 million) aid package (of which the 6.8 billion will be a portion). Ishii TOKYO 00001244 002 OF 002 noted that at the PALM4 meetings, a 45 billion yen program was presented, which over time grew to close to 50 billion yen total expended. He predicted it is possible that the total value of Japan's newest package could well exceed 50 billion. -------------- CONCERN OVER CHINESE INFLUENCE IN FIJI -------------- ¶7. (C) Concerns about China's intentions in the region continue to weigh heavily on MOFA's thinking regarding Fiji, Ishii continued. While noting that Japan's solution for the PALM5 of inviting only working level officials was greeted positively by other regional powers, Ishii feels that Commodore Bainarama is seemingly "impervious" to outside pressure, and emphasized his personal concerns that Australia and New Zealand may overplay the importance of early elections and attempt to further isolate Fiji's current regime. According to Ishii, a number of senior MOFA officials share these concerns and fear such actions would lead Fiji to turn away entirely from diplomatic overtures by Japan, Australia and others and instead seek aid and resources from China. This could lead to Fiji in effect "becoming another Burma," and is highly undesirable, he said. ZUMWALT